The Emirates Group has announced its most successful half-year financial results ever, marking an impressive milestone in its operational history. For the first half of the 2023-24 financial year, the Group reported a net profit of AED 10.1 billion (US$ 2.7 billion), an astounding 138% increase from the AED 4.2 billion (US$ 1.2 billion) recorded during the same period last year.
This exceptional performance was accompanied by a robust EBITDA of AED 20.6 billion (US$ 5.6 billion), reflecting a notable rise from the AED 15.3 billion (US$ 4.2 billion) reported last year. The Group’s revenue surged by 20%, reaching AED 67.3 billion (US$ 18.3 billion), fueled by the continued global demand for air travel as the industry experiences a resurgence.
Maintaining Financial Strength and Stability
As of September 30, 2023, the Emirates Group reported a solid cash reserve of AED 42.7 billion (US$ 11.6 billion), demonstrating its financial stability and operational resilience. The Group has leveraged its strong cash position to meet financial obligations, including repaying AED 9.2 billion in COVID-19-related loans. Additionally, a dividend payout of AED 4.5 billion was made to its owner, reflecting its strong financial health.
His Highness Sheikh Ahmed bin Saeed Al Maktoum, Chairman and Chief Executive of Emirates Airline and Group, expressed his satisfaction with the results, emphasizing the organization’s ability to recover and thrive post-pandemic. He attributed the Group’s success to the dedication of its workforce, a resilient business model, and Dubai’s progressive aviation policies.
Looking ahead, HH Sheikh Ahmed highlighted that while the demand for air travel remains strong, the Group remains vigilant of external challenges, including fluctuating fuel prices, inflation, and geopolitical tensions.
Expanding Operations and Workforce
To support its expansion and increasing business activities, the Emirates Group expanded its workforce by 6%, reaching a total of 108,996 employees as of September 30, 2023. Both Emirates and dnata are actively recruiting to meet future demands.
Emirates Airline’s Strong Growth and Expansion
Emirates has continued to expand its global network, restoring A380 services to key destinations, including Bali, Beijing, Birmingham, Casablanca, Nice, Shanghai, and Taiwan. Additionally, the airline launched a new daily non-stop route to Montreal, strengthening its presence in Canada.
The airline also enhanced connectivity by forming new codeshare and interline agreements with eight airlines, including Air Canada, Etihad Airways, and Sri Lankan Airlines. Its longstanding partnership with Qantas received a five-year extension, benefiting millions of travelers globally.
By the end of September 2023, Emirates was operating passenger and cargo services to 144 airports, utilizing its full fleet of Boeing 777s and 104 A380s. The airline also completed the retrofit of 10 A380 aircraft, enhancing customer experience with refreshed cabins and Premium Economy seating, which has been introduced on key routes such as New York, Houston, and Singapore.
Emirates reported an unprecedented half-year profit of AED 9.4 billion (US$ 2.6 billion), more than doubling the AED 4.0 billion (US$ 1.1 billion) achieved in the previous year. Revenue increased by 19% to AED 59.5 billion (US$ 16.2 billion), driven by strong demand for international travel. Passenger numbers surged by 31% to 26.1 million, with a passenger seat factor of 81.5%, up from 78.5% last year.
Emirates SkyCargo also demonstrated strong performance, transporting over one million tonnes of cargo, an 11% increase despite a softening global cargo market. The airline’s EBITDA climbed by 33% to AED 19.5 billion (US$ 5.3 billion), reflecting the strength of its operations.
dnata’s Continued Growth and Strategic Investments
dnata, the Emirates Group’s aviation services subsidiary, recorded impressive revenue growth of 27%, reaching AED 9.3 billion (US$ 2.5 billion). Net profit soared to AED 709 million (US$ 193 million), a dramatic rise from AED 236 million (US$ 64 million) in the previous year.
dnata’s airport operations contributed AED 4.1 billion (US$ 1.1 billion) to revenue, driven by increased airline operations in Australia, Singapore, the UK, and the UAE. Despite a 5% dip in global air freight volumes, dnata handled 1.3 million tonnes of cargo and managed 384,656 aircraft turns, an 11% increase.
The catering and retail segment experienced a 45% revenue increase, reaching AED 3.5 billion (US$ 942 million), with meal production surging by 31% to 66.3 million meals. Additionally, dnata’s travel division recorded a 16% revenue boost, generating AED 1.4 billion (US$ 375 million), with strong contributions from Destination Asia and Imagine Cruising.
Strategic investments in technology and sustainability initiatives were key highlights for dnata. The company increased its stake in Imagine Cruising to 81.4%, adopted AI-powered cargo handling solutions in Singapore, and introduced biofuel-powered transport vehicles in the UAE.
Looking Ahead
With its best-ever half-year performance, the Emirates Group has solidified its position as a global aviation powerhouse. As demand for travel continues to rise, the Group remains committed to strategic expansion, operational efficiency, and customer-centric innovation while navigating external market challenges.